- By Kevin YuPeople say money is the mother’s milk of politics. In marketing, it is new products, meant to pique the interest of consumers and thereby stimulate demand at stores, restaurants and dealer showrooms.
In tough times, it would seem the flow of new products would be slowed by companies fearing that shoppers have too much on their minds to consider still another cereal, soap or soup.
But as the recession grinds on, Madison Avenue is serving up a steady stream of new packaged foods, cars, drugs (prescription and otherwise), menu items (for both sit-down and fast-food restaurants) and beverages (alcoholic and otherwise).
The new product pitches are coming from all manner of marketers, from global behemoths — among them Campbell Soup, General Mills, Mars and Unilever — to family-owned companies like Sargento Foods.
One reason to stay the course on new products is that they can offer marketers new reasons to reach out to consumers when the impulse may be to pull back.
Cold Stone is bringing out, and promoting, new products like ice cream cupcakes, iced and blended coffee drinks, Jell-O Pudding Ice Cream and a line of cheesecakes.
The hope is to amid the changes consumers are making in buying habits. Another reason to keep filling the new-product pipeline is that successful newcomers can bring in much-needed revenue.
Sources:
1. http://www.business24-7.ae/articles/2009/3/pages/03162009_8738d398611041a5a32d08d17daf4034.aspx
2. http://www.acenet.edu/resources/chairs/docs/Boudreaux_ToughTimes_FinalFM.pdf
3. http://www.nytimes.com/2009/03/25/business/media/25adco.html?_r=1&ref=business
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